4 Tools to Make Your Forex Firm Scalable
What you need to scale your FX brokerage
To continue to increase your profits, you need to grow your forex brokerage. Because financial markets and regulations change quickly, brokerage growth can be unpredictable.
So what do you need to be scalable? The right tools.
There are four features to look for when choosing software for your FX brokerage.
1. Platform independence
Client preferences change, and you may want to offer clients the ability to connect to a different trading platform in the future. MT4 may be the most popular trading platform now, but MetaTrader 5 has benefits some traders really want. Other traders are more comfortable with platforms like ZuluTrade.
If your brokerage software stores data in a way that isn’t tied to a specific trading platform, you’ll be able to quickly adopt new trading platforms when doing so would help you scale your brokerage.
2. Multi-level partnership management
Introducing brokers (IBs) are perfect partners when you move into new markets. These brokers often know many traders who they can recruit for your business. Your software should enable you to have multi-level partnerships with introducing partners and the brokers they’ve partnered with.
Onboarding IBs quickly and paying them promptly for their services is essential for attracting and keeping talented partners. The more efficiently you can manage multi-level partnerships, the more scalable your brokerage will be.
3. Multilingual back office software and traders room
One of the most direct ways to grow your firm is to expand into new markets. To do so, you’ll need to offer tools in the right languages.
To attract clients in different regions, you need a trader’s room software that is available in different languages. Clients will be most comfortable investing money with your firm if you offer trading tools in their preferred language.
You also need back office forex software that is available in multiple languages. When you move into new markets, you often need to partner with IBs. Although IBs often speak English, providing forex software in their preferred language will demonstrate your commitment to growth in the region and their success.
Being able to quickly onboard partners and traders who speak other languages will make it easy to move into new areas when opportunities become available.
4. Flexibly priced tools
Software tools that charge based on the number of active traders you have will allow you to pay less when your firm is still small without sacrificing any important features.
Another option is to look for tools that have add-on modules that aren’t as useful for small firms. You can forgo those features until you need them, and save money while your firm is still growing.
The forex market moves quickly. Your brokerage needs to be able to move quickly too. Choose the right tools to make it easy to act fast when you have the chance to grow your brokerage.